Cresud Sociedad Anonima Comercial, Inmobiliaria, Financiera y Agropecuaria Announces Share Repurchase Program

BUENOS AIRES, Argentina, Aug. 26 /PRNewswire-FirstCall/ -- Cresud Sociedad Anonima Comercial, Inmobiliaria, Financiera y Agropecuaria (the "Company") (Nasdaq: CRESY) reported today to the Argentine Comision Nacional de Valores and the Bolsa de Comercio de Buenos Aires that its Board of Directors has approved the terms and conditions for the acquisition of shares issued by the Company under the provisions of Section 68 of Law 17,811 (added by Decree number 677/2001) and the Rules of the Comision Nacional de Valores. The Board of Directors has taken into account the following reasons:

1. The current international macroeconomic context which affects directly the price of commodities.

2. The fluctuations in the capital market in general, following the reduction of prices in international markets triggered by the crisis in the mortgage loans market, especially in the United States of America.

3. The material impact on the price of domestic shares, including the reduction in the quotation of the shares of the Company.

4. The distortion of such prices when considering the financial strength of the Company, as evidenced by the quality of its assets, including the lands of great productive value and appreciation potential, and the productive business that the Company develops in Argentina and in Brazil.

5. The price/income ratio resulting from the profits evidenced by the quarterly financial statements ended March 31, 2008.

6. The statements made by specialists according to which international investors' need for liquidity within the financial international crisis would be affecting the quotations negatively and that the risk premium, comparatively higher than in other countries, would cause Argentina to be more exposed to market turbulence.

Therefore, the Board of Directors has decided that the Company will acquire the shares issued by the Company in order to help to reduce the fluctuations of the quotation of shares and strengthen the shares in the market, minimizing any possible temporary imbalances between supply and demand within the market, and due to the excessive cost of capital resulting from the current quotation prices. The Board of Directors has established the following terms and conditions under which the acquisitions will me made:

1. Maximum amount of the investment: Up to Ps. 30,000,000.

2. Maximum number of shares to be acquired: Up to 10,000,000 common shares, book entry, par value of Ps. 1,00 each and entitled to one vote per share (the "Shares"), in the form of shares or American Depositary Shares or ADS representing 10 shares each, which amount does not exceed the limit of 10% of the capital stock of the Company, as established by the applicable argentine laws and regulation.

3. Daily limitation on market transactions: In accordance with the applicable regulation, the limitation will be up to 25% of the average volume of the daily transactions for the Shares in the markets during the previous 90 days.

4. Payable Price: Between a minimum of Ps. 3 per Share and up to Ps. 3.50 per Share.

5. Term for the acquisition: 70 calendar days from the date of the publication of the information in the Bulletin of the Buenos Aires Stock Exchange, subject to any renewal or extension to be duly informed to the public in such Bulletin.

6. Outstanding shares: as of July 31, 2008 the Company has 501,531,865 outstanding common shares.

About Cresud:

Cresud is a leading Argentine agricultural company with a growing presence in the Brazilian agricultural sector through its investment in BrasilAgro-Companhia Brasileira de Propriedades Agricola. Cresud is currently involved in a range of activities including crop production, cattle raising and milk production. Cresud's business model, which it seeks to roll out abroad, taking into account the specific conditions of each country, focuses on the acquisition, development and exploitation of properties having attractive prospects for agricultural production and/or value appreciation and the selective disposition of such properties where appreciation has been realized.

SOURCE Cresud